Both the Payback and the Accounting Rate-Of-Return Models Are Attempts

question 69

True/False

Both the payback and the accounting rate-of-return models are attempts to approach capital budgeting systematically.

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Definitions:

Entrepreneurial Ability

This refers to the skills and qualities that enable an individual to identify business opportunities, start, develop, and manage a business successfully.

Households

Units that consist of one or more people living together, who make joint decisions on consumption and other economic activities.

Durable Good

A type of good that does not quickly wear out and is expected to last for a relatively long period, such as cars, appliances, and furniture.

Handheld Calculator

A small, portable electronic device used to perform basic arithmetic operations and sometimes more complex mathematical calculations.